● MONDAY, February 3
Judges in Moldova are at beck and call of corrupt functionaries, Victoriabank shareholder
The judicial system of Moldova helps the corrupt functionaries to remain in power even if they violate the legislation and the human rights. The accusations were made by representatives of “Asito”, which is a shareholder of Victoriabank, following a court decision upholding the decision of the bank’s Administration Board to organize the general assembly of shareholders on February 6. “Asito” owns 5% of the bank’s shares. In a news conference, the company’s jurist Natalia Savca said that “Asito” appealed the decision of the Administration Board of Victoriabank for the reason that the procedure was violated. The court suspended the given decision, but the bank’s administration challenged it in a higher court. When Natalia Savca went to the Botanica Court to familiarize herself with the case, she found out that it was no longer inside the court. Angela Maxim, senior jurist at “Asito”, said the case at the Appeals Court wasn’t distributed at random, as required. “The money offered by international organizations was used to purchase a program that distributes cases to judges arbitrarily. But this program is being avoided. On January 24, we found out who will try the case according to the distribution procedure. However, on January 23, this judge sent notices to the persons involved in the case. So, he knew already that the case will be entrusted to him,” she stated. The jurists of “Asito” filed a number of appeals, but they were rejected and a decision in favor of the administration of Victoriabank was ultimately passed.
Shareholders of Victoriabank demand holding assembly of shareholders legally
The decision to hold the general assembly of shareholders of Victoriabank on February 6 was taken in breach of the procedures, said a group of shareholders who consider that the assembly must be convened according to the regulations, on February 28. The shareholders stated that if the bank’s administration does not agree with the decisions that will be taken at the assembly called illegally, it will have reasons to challenge them in court. The company “Asito” holds 5% of the bank’s shares, which were purchased on the Stock Exchange. In a news conference representatives of the company said the request to convene the general assembly and the agenda that includes the election of the bank’s new administration were filed to the institution’s chancellery last year. The decision of the bank’s Board of Directors to hold the general assembly of shareholders on February 6 was published in the Official Gazette on December 31. “Asito” senior jurist Angela Maxim said the company is not against this decision, but, according to the legal provisions, the extraordinary general assembly of shareholders can be convened by the Board of Directors only if there is a decision that the Administration Board cannot come together. As there is no such decision, the procedure was violated.
Victoriabank shareholders: Bank’s administration makes everything possible to keep posts
The president of the Administration Board of Victoriabank is accused by shareholders of the bank of resorting to different legal and illegal measures in order to keep her position. On December 31 last year, the Administration Board decided to hold the general assembly of shareholders on February 6. Representative of the insurance company “Asito”, which owns 5% of the bank’s shares, maintain that the decision was taken by violating the regulations and the Board’s president will be able to challenge the legality of the decisions that will be taken by the shareholders if she does not like them. Senior jurist of “Asito” Angela Maxim, in a news conference said the decision of the Administration Board was disputed in court. The Botanica Court suspended it, but the Appeals Court upheld it. “Functionaries of the Appeals Court told me that Misses Politov-Cangas (president of the Administration Board of Victoriabank – e.n.) met with the court’s president the day the decision was to be passed,” she stated. According to the jurist, the shareholders still do not have access to information about the loans provided by the bank and the institution’s financial situation.
● TUESDAY, February 4
Walnut exporters welcome initiative to eliminate export taxes
The producers and exporters of walnuts of Moldova welcome the initiative of Prime Minister Iurie Leanca to annul the tax of 1.5% of the value of exported walnuts. Chairman of the Association of Walnut Exporters of Moldova Dumitru Vicol has told IPN that by annulling this tax, there will be removed an older mistake that led to the double taxing of walnut producers and exporters. Dumitru Vicol said that by changes made to the Tax Code, a tax of 2% was introduced in agriculture in the form of charge on the purchase of agricultural products from private individuals. Until the export tax of 1.5% on walnuts is valid, the entrepreneurs working in this sector are taxed double. Dumitru Vicol also said that the annulment of the export tax on walnuts will encourage the producers and exporters to invest in this field. Moldova annually exports 11,000-13,000 tonnes of walnuts, which is 2% of the total exports. 90% of the quantity of walnuts is exported to the European Union.
Mobiasbanca supports Balti municipality in implementing energy saving project
Mobiasbanca - Groupe Société Générale will support Balti municipality in implementing an energy saving project in order to optimize its expenditure and to meet the commitment for energy efficiency measures. The project covers the replacement of existing light corps, implementation of an IT monitoring system, and system maintenance for five consecutive years. On January 24, Mobiasbanca signed the financing contract with the municipal company IM DCC Comanditar Unic, which was selected to administrate the streetlights system in Balti and to manage the successful implementation of the renovation works. Ridha Tekaia, president of Mobiasbanca – Groupe Société Générale, said that this is the first project of its kind in Moldova and Mobiasbanca is proud to be the partner bank, offering the necessary financing and counseling throughout its implementation. By implementing this project, Balti municipality will comply with the commitments undertaken when signing the Covenant of Mayors on July 19, 2011, which is the mainstream European movement involving local and regional authorities.
Businessmen formulate suggestions for having their work facilitated
Businessmen asked the Government to simplify the export procedures and to reduce some of the costs. Relevant discussions were held in a meeting of the Economic Council working under the Prime Minister, which involved representatives of exporters of agricultural and agrifood products. “I would like to know your opinion about the Free Trade Agreement and what we should do to help you be prepared to benefit from its provisions,” said Prime Minister Iurie Leanca, quoted in a communiqué of the Government’s press service. The businessmen attending the meeting welcomed the Government’s intention to remove the tax of 1.5% on the export of walnuts. The bill is to be adopted by the Cabinet in the near future. The Government also intends to maximally facilitate crossborder trade.
● WEDNESDAY, February 5
Tax Inspectorate reports larger collected amounts for January
The incomes collected by the State Main Tax Inspectorate in the first month of this year were by 13% (65m lei) higher than the projected amounts and by over 30% larger compared with the corresponding period last year. The Tax Inspectorate explained that the rise is due to the adoption of new practices in the relations with taxpayers. Emphasis is put on voluntary compliance and on the training of the Inspectorate’s employees. In January, the collected amounts came to 575 million lei.
Moldova, Turkey sign cooperation protocol
Moldova and Turkey have signed the seventh protocol of the Moldovan-Turkish intergovernmental commission on economic, commercial and technical-scientific cooperation. The protocol includes 16 cooperation points. Minister of Customs and Trade of Turkey Hayati Yazici told a news conference in Chisinau that this protocol can be considered a map that covers all the areas. Trade between Moldova and Turkey over years increased considerably. In 2013, it totaled almost US$560 million. The goal is to raise the volume of bilateral trade to US$1 billion in 2015. The Turkish official said that both of the sides aim to sign the Free Trade Agreement between Moldova and Turkey in the first half of this year. In the second half, a delegation of Turkish businessmen will pay a visit to Moldova to present investment projects.
Group of shareholders of Victoriabank suspect raider attack
A group of shareholders of Victoriabank called upon the Presidential Office, Parliament and Government to take measures over the situation created at the bank. They said a raider attack is staged on the bank, while the National Bank of Moldova (NBM) committed an illegality and blocked their right to vote in the February 6 general assembly. “Asito” owns 5% of the shares of Victoriabank. In a news conference, the company’s senior jurist Angela Maxim said that on February 5, one day before the general assembly of shareholders, a number of shareholders were informed about the NBM’s ban on concerted actions. There was no official notification. They were informed over the phone. Angela Maxim stated it is an attempt to hinder the shareholders from voting in the bank’s new administration. Ion Dorogoi, the representative of “Corplexus” that also owns 5% of the shares of Victoriabank, said that their right to vote was also blocked. The shareholders sent notifications to the Prosecutor General’s Office, the embassies working in Chisinau and to international organizations.
Administration of Victoriabank rejects candidates for new administration, shareholders
The candidates proposed by a group of shareholders of Victoriabank for members of the bank’s Administration Board weren’t accepted. Asked by the shareholders why their proposals weren’t included in the agenda of the February 6 general assembly, the administration said their requests didn’t reach the bank’s chancellery. Olga Ceban, who represents two of the shareholders – “TIK Invest” and “Vestesk Management” – in a news conference said the companies that hold 5% of the bank’s shares have the right to field candidates for members of the Administration Board. According to Olga Ceban, among the candidates is former National Bank governor Leonid Talmaci. “Asito”, which owns 5% of the shares of Victoriabank, was also banned from voting. The company’s senior jurist Angela Maxim said that the shareholders are accused of concerted behavior, but they consider that the National Bank acted illegally, its decision being ‘bought’ by the current administration of Victoriabank.
Victoriabank shareholders deny being directed from behind
A group of shareholders of Victoriabank, which want the administration of the bank to be substituted, deny being directed from behind. The shareholders’ reaction comes after the president of Victoriabank Natalia Politov-Cangas told the press that somebody tells them how to behave in order to take over the bank. The shareholders, which together own over 25% of the bank’s shares, last yearend asked organizing the extraordinary general assembly in order to replace the bank’s administration as they are dissatisfied with its performance. “Asito” holds 5% of the shares. The company’s senor jurist Angela Maxim, in a news conference said the shares were purchased on the Stock Exchange in a transparent way. Ion Dorogoi, the representative of “Corplexus” that also owns 5% of the shares of Victoriabank, said the shareholders, by asking convening the extraordinary general assembly, defend their own interests, without being directed by somebody. The shareholders said the National Bank of Moldova illegally banned them from voting in the general assembly set for February 6, accusing them of concerted acts.
● THURSDAY, February 6
Place for building Chisinau agrifood center identified
The place on which to construct the Chisinau agrifood center was found. It is situated on Petricani St. The territory is owned by a scientific institution managed by the Ministry of Agriculture, head of the Marketing and International Relations Division Tudor Robu has told. The agrifood center will be erected under a public-private partnership. The authorities hope to attract investments from national agricultural companies for building this center. The costs were assessed at €30 million. It is projected that the European Investment Bank will cover 50% of the costs, while the rest of the money will be attracted as private investments.
Central bank blocks shareholding in Victoriabank
The National Bank of Moldova (NBM) blocked a 30% shareholding in Victoriabank, Governor Dorin Dragutanu has announced. The holding is owned by two groups of shareholders. “These two groups of shareholders act concertedly. They bought significant holdings of the registered capital of Victoriabank in a non-transparent way, without the preliminary permission of the NBM. Thus, yesterday (February 5), the Board of the NBM decided to block the shareholding,” the governor said in a news conference. He added that ensuring the transparency as regards bank ownership is a key task for building up Moldova’s image and its credibility before international financial organizations.
Mobiasbanca and EBRD conclude risk-sharing facility
The EBRD is helping to increase the flow of credit to larger corporate borrowers in Moldova with an innovative €10 million risk participation facility to support lending by Mobiasbanca - Groupe Société Générale. The new facility mechanism is similar to a guarantee whereby the EBRD will share up to 50 per cent of the risks associated with projects financed by the bank. As a result, Mobiasbanca will reduce its own risk exposure and increase the availability of larger, long-term loans to corporate clients. The risk-sharing facility will help promote best business practices on the part of Mobiasbanca clients, as the loans will comply with EBRD requirements for creditworthiness, integrity and environmental standards, it is said in a press release. “The signing of this agreement is further proof of our leadership in promoting new financial products, Mobiasbanca being the first bank on the Moldovan market to successfully launch a risk-participation facility,” said Ridha Tekaia, President of Mobiasbanca - Groupe Société Générale.
NBM revises rate of inflation up
The National Bank of Moldova (NBM) revised up the rate of inflation for this year. The new forecast is 5.4%, up 0.7 percentage points from the October projection. “In the first two quarters of this year, we anticipate a slow rise in the general level of prices, mainly due to the contribution of food prices. In the second half of this year, inflation will start again to decrease,” NBM governor Dorin Dragutanu told a news conference. The new forecast places inflation in the variation interval of ± 1.5 percentage points from the central bank’s target of 5% for the next eight quarters. In the last two years, the consumer price index was within this variation interval. Dorin Dragutanu said the deflationist pressure will persist.
EBRD and EIB will continue to invest in Moldova
The European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB) will continue to invest in Moldova. In a news conference in Chisinau, held after a meeting with Prime Minister Iurie Leanca, banks’ Presidents Suma Chakrabarti and Werner Hoyer said it is important that Moldova meet the EU standards, contributing thus to the welfare of the country’s people. Last year, the EBRD offered a record sum to Moldova – €130 million within 15 projects. “I expect that this year we will provide over €100 million if the conditions are good. The sectors are infrastructure, which is very important, transport, and water supply. Tomorrow (February 7), we will sign a water supply project with the Chisinau City Hall,” said EBRD President Suma Chakrabarti. Over the last seven years, the bank invested €700 million in Moldova. EIB President Werner Hoyer said it is important for the bank to support the investments in Moldova so as to contribute to the improvement of people’s lives. Moldova receives the largest amounts per capita compared with any other country in the region.
● FRIDAY, February 7
State will compensate investors that will create new jobs
The Ministry of Economy submitted to the Government for approval the regulations concerning the allocation of money from the state budget for supporting investors that will create new workplaces. The allocated financial resources will be used to pay the costs that the investors will incur for training employees. Under the regulations, the compensation offered by the state will not exceed 50% of the costs for training an employee. Compensations will be paid to investors that are registered as subjects of entrepreneurial activity in Moldova. The state will cover only the costs for training employees in modern professional training centers. The professions for which the costs will be paid will be selected based on the programs of the training centers, according to the nomenclature of professions proposed by the investors, employers and the Ministry of Economy.
New wine bottling line launched at Cricova company with EIB support
A new wine bottling line started to be used at the Cricova wine company. It was built and installed with support from the Wine Sector Restructuring Program that is financed by the European Investment Bank (EIB). A sum of €75 million was allocated for the purpose. According to a communiqué of the Government’s press service, EIB Vice-President responsible for lending operations in the eastern neighborhood Wilhelm Molterer and Minister of Agriculture Vasile Bumacov signed a statement of intent on the launch and implementation of a new project to support fruit producers to the value of €100 million, which is the contribution of the EIB. The money will be used to release loans in advantageous conditions. EIB President Werner Hoyer said this is a historical agreement that represents a commitment of the European Investment Bank for supporting the national agriculture within the Eastern Partnership.
EBRD President welcomes central bank decision on Victoriabank
President of the European Bank for Reconstruction and Development (EBRD) Suma Chakrabarti welcomed the National Bank’s decision to block the controlling holding of two groups of shareholders of Victoriabank. “We welcome the fact that the NBM reacted, being supported by the Government. It is a step that respects the supremacy of the law and shows that we can have robust regulation in the banking sector,” Suma Chakrabarti said in a news conference in Chisinau on February 6. According to him, by this decision the NBM implements the changes that the EBRD and IMF promoted. “The regulator was courageous and was supported by the Government. We support the regulator too,” stated the EBRD President. NBM governor Dorin Dragutanu the same day said such a decision was taken because the two groups of shareholders acted concertedly. “We had evidence that they acted concertedly, without the permission of the central bank. They purchased significant shareholdings in Victoriabank in a coordinated and non-transparent way,” he stated. For his part, Prime Minister Iurie Leanca criticized the Moldovan justice, referring to the decision of a Comrat court that annulled the NBM’s decisions on Victoriabank before their approval.
Depreciation of leu is temporary phenomenon, NBM governor
The governor of the National Bank of Moldova (NBM) Dorin Dragutanu said the leu has depreciated owing to the massive import of energy resources for which they pay in foreign currency. The supply of foreign currency in cash on the market decreased compared with the previous period, when it fully met the demand of importing companies. In January, only 86% of the demand was satisfied. The developments on the international financial markets are another reason for the depreciation of the leu. “Moldova, being a country with a small and open economy, can be influenced, given especially the share of exports and remittances in the GDP. Since the start of this year, the Russian ruble has depreciated by 6.1%, the Ukrainian hrivna by 7.7%, the Turkish lira by 4.7%. The leu was consequently influenced,” Dorin Dragutanu told a news conference. He assured that the NBM keeps the developments on the currency market under control and, even if the foreign exchange reserves of the central bank reached a record level of US$2.8 billion, there are no reasons for intervening as the depreciation of the national currency is a temporary phenomenon.
EBRD will approve new assistance strategy for Moldova in April
The EBRD Board of Governors is to approve a new assistance strategy for Moldova in April. “We intend to continue to support infrastructure development projects, especially the construction of roads and generation of energy, EBRD President Suma Chakrabarti said while in Moldova on a visit. The Bank will also finance municipal projects and projects to develop small and medium-sized companies by facilitating their access to funds and consultancy. According to the EBRD official, the economic goals of Moldova, namely those to ensure a better life for its people, can be achieved by integrating the Moldovan economy into the European one, by attracting investments and developing the private sector. “The business and investment environment should be improved. Therefore, two key problems must be solved: ‘cleaning’ of the banking sector by ensuring transparency of bank ownership, and reformation of the justice system, including fighting corruption,” said Suma Chakrabarti.
● SATURDAY, February 8
Deadline for applying to Moldova Eco-Energetica contest extended
The award ceremony of the Moldova Eco-Energetica contest will take place annually on the first Friday of December. The decision was taken by the project’s Coordination Council. The deadline for applications was extended. In a communiqué, the Ministry of Economy says that in order to offer sufficient time to those who want to take part in the fourth Moldova Eco-Energetica contest, it was decided to extend the deadline for submissions. This year the contest will be launched on March 5 and private individuals and legal entities will be able to submit applications by August 5. From this year, th
